TAIPEI (TVBS News) — Newly appointed Minister of Economic Affairs J.W. Kuo (郭智輝) emphasized on Wednesday (June 5) that Taiwan Power Company (Taipower, 台灣電力公司) must strive for financial independence rather than relying on state subsidies.
This statement comes amid the backdrop of the utility's consecutive years of significant losses, totaling hundreds of billions of Taiwan dollars, and the government's decision to allocate up to NT$400 billion in budget adjustments and cash injections to aid the struggling company.
A Shift in Strategy
Minister Kuo's stance against government subsidies for Taiwan Power Company marks a departure from the Executive Yuan's (行政院) recent financial interventions. He argued that the company should focus on generating its own revenue, a perspective seen as contradictory to the Executive Yuan's approach. This has sparked discussions on the future management and operational strategies of Taiwan Power Company, suggesting a potential shift towards more self-sustaining business models.
Government's Response
In response to Kuo's comments, Executive Yuan spokesperson Chen Shih-kai (陳世凱) clarified that the minister's remarks were directed towards the future operations of Taiwan Power Company. Chen expressed hope that the company could achieve smooth operations without resorting to government subsidies, indicating a supportive stance towards Kuo's vision for the utility's financial independence.
As Taiwan Power Company faces the challenge of overcoming its financial difficulties, the government's and the new minister's differing views may lead to innovative solutions that could ensure the company's sustainability and reduce its dependency on state funds.